So, it has been a week since US Government went into shut down and a week since Nadeesha's excellent insight into what happened. One week on since this bizarre announcement American businesses are starting to feel the effects. America is undoubtedly one of the most powerful countries in the world and many countries are reliant on America for their own economic development and success. The President of the Philippines was quoted at the Asia-Pacific Economic Co-operation saying "what happens in the US affects us all." All non-essential government operations have been shut down, which means 3000 workers are currently on unpaid leave according to US Defence contractor Lockheed Martin.
The biggest problem for US businesses has been the lack of data provided by the government which is essential to their daily running. Businesses rely on the government as a source of data to use in their marketing schemes and policies, but with the shut down initiated this data is not available. An example of this is United Technologies, who have had to temporarily lay off 2000 workers, as a result of the shut down. The producers of the Blackhawk Helicopters had brought manufacturing to an abrupt halt as the government inspectors that were supposed to sign off their products were all on unpaid leave because of the shut down.
So now you know what it is, the political side and the effects. The only thing missing is the solution. I am sure Obama and his team are working on one as we speak. Some countries are just nearing the end of their recovery from the 2008 global financial crisis, the last thing they need now is for the world's top economy to face some sort of crisis as it will affect us all.
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